MPLS VPNs transport layer 2 packets across the network and encapsulate transport protocols such as ATM, Ethernet, and SONET, allowing MPLS networks to seemlessly upgrade and replace legacy layer 2 networks without requiring network reconfiguration or using protocols higher than layer 2. In comparison, layer 3 VPNs must use the layer 3 Internet Protocol (IP).

T1 lines carry about roughly 30 times more data than a normal dial-up modem.

Voice over Internet Protocol (VoIP) service that sets up telephone calls over the Internet that are often billed at a flat rate and leverage subscribers existing broadband Internet connection. This saves money in that only one connection is needed for both voice (phone) and data (Internet) service.

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The main limitation on DSL bandwidth speed is the distance from the customer premise to the local telephone company central office.

MPLS VPNs use Multiprotocol Label Switching (MPLS) to set up Virtual Private Networks (VPNs) that can isolate data traffic to provide Class of Service (CoS), Quality of Service (QoS), and ease network administration with minimal network overhead. Layer 3 MPLS VPNs (L3VPNs) use BGP, traffic isolation and Virtual Routing / Forwarding (VRF) for network routing and security. MPLS VPNs are more efficient and robust than IPSec VPN, ATM, MPLS L3VPNs.

The wide-spread use of Ethernet has reduced the cost of Ethernet switches and also the space required to deploy Ethernet networks either via twisted pair copper or fiber and virtually all computer manufacturers include an Ethernet card as a standard component on Personal Computer (PC) motherboards which eliminates having to install an Ethernet card as a peripheral device.

POTS local loop speed is increased by up to 50 times when a DSL modem is attached at the customer premise and a Digital Subscriber Line Access Multiplexer (DSLAM) is connected to the local access loop at the local telephone company central office (CO).

On Telecom Links, you can learn how an Internet T1 works and why it is more reliable than DSL or cable.

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MPLS can be used to facilitate layer 3 IP VPNs, layer 2 VPNs, Quality of Service (QoS), Class of Service (CoS) and to guarantee Service Level Agreements.